https://www.taxtmi.com/caselaws?id=237769 The High Court upheld the Tribunal's decision to dismiss the Tax Appeal regarding the disallowance of part of the remuneration paid to directors under Section 14A of the Income-tax Act, 1961. The Court emphasized the need to bifurcate expenditures for taxable and tax-exempt income, clarifying that while Rule 8D is not retrospective, disallowances can still be made under Section 14A through reasonable allocation of expenses. The Court's decision did not provide a final conclusion due to the minimal amount involved in this case but affirmed the importance of proper expenditure allocation under the Act. en-us Tue, 19 Feb 2013 00:00:00 +0530 Mon, 07 Oct 2013 22:02:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=237769 The High Court upheld the Tribunal's decision to dismiss the Tax Appeal regarding the disallowance of part of the remuneration paid to directors under Section 14A of the Income-tax Act, 1961. The Court emphasized the need to bifurcate expenditures for taxable and tax-exempt income, clarifying that while Rule 8D is not retrospective, disallowances can still be made under Section 14A through reasonable allocation of expenses. The Court's decision did not provide a final conclusion due to the minimal amount involved in this case but affirmed the importance of proper expenditure allocation under the Act. Case-Laws Income Tax Tue, 19 Feb 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=237769